American Eagle Outfitters is reaping the rewards of star power. The retailer’s bold bet on celebrity collaborations — from actress Sydney Sweeney to NFL star Travis Kelce — has ignited buzz, boosted denim sales, and sent its stock soaring.
Sydney Sweeney’s “Great Jeans” Campaign Drives Denim Frenzy
Launched in late July, American Eagle’s “Great Jeans” campaign starring Euphoria and Anyone But You actress Sydney Sweeney instantly made waves. The cheeky tagline, “Sydney Sweeney has Great Jeans,” sparked heated debate online, with critics accusing it of leaning on regressive beauty standards.
But controversy didn’t stop customers from shopping. In fact, it fueled sales.
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Sweeney’s signature jeans sold out within a week.
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Some denim products disappeared from shelves in just one day.
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The campaign brought “unprecedented new customer acquisition,” according to Chief Marketing Officer Craig Brommers.
CEO Jay Schottenstein declared the campaign a success on Wednesday’s earnings call, saying:
“The iconic fall denim campaign with Sydney Sweeney confirms we are the American jeans brand.”
Despite mixed reactions, American Eagle doubled down, insisting in an Instagram post: “‘Sydney Sweeney has Great Jeans’ is and always was about the jeans.”
Travis Kelce Collection Boosts Men’s Business
On August 27, just one day after announcing his engagement to pop superstar Taylor Swift, Kansas City Chiefs tight end Travis Kelce teamed up with American Eagle. His Tru Kolors capsule collection dropped with perfect timing — blending celebrity appeal with limited-edition hype.
The men’s collection immediately generated strong demand, with a second drop planned during the NFL season.
CFO Jen Foyle highlighted the double punch of Sweeney and Kelce’s collaborations:
“These two signature collaborations have generated a strong response driven by limited-edition merchandise, demonstrating the power of celebrity style and great product.”
Financial Results Beat Expectations
For the second quarter ending August 2, American Eagle reported:
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Earnings: $0.45 per share, up 15% year-over-year.
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Revenue: $1.28 billion, down 1% from last year.
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Comparable sales: down 1% overall, including at Aerie.
Yet Wall Street cheered. Shares soared 24% in after-hours trading as results exceeded analyst expectations and management touted the most successful Labor Day weekend in company history.
Can the Momentum Last?
Not all analysts are convinced American Eagle can sustain this celebrity-driven surge. In late August, the company itself noted that there wasn’t a “high likelihood” the Sweeney campaign could “inflect the business over the long run.”
Still, executives say this is just the beginning:
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New phases of Sweeney’s “Great Jeans” campaign are on the way.
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Kelce’s Tru Kolors line is being expanded for fall and the NFL season.
For now, American Eagle has turned cultural conversation — and a touch of controversy — into sales momentum and a stock rally.
